Research shows New Zealand housing still unaffordable

Jan 30, 2017 | Research

The Massey Affordability Index takes into account the cost of borrowing as well as house prices and wagelevels. Key points from the report can be seen on the left.

The report shows that this December quarter (2016) has seen a decline in affordability driven mainly by the continued spillover of the Auckland house price levels into the regions. Overall, home affordability declined by 2.8% in this quarter withsome big declines in the provincial centres of Taranaki (12%); Northland (9.7%); Southland (6.7%); Nelson/Malbrorough (6.2%); and Manawatu/Wanganui (6%).

Affordability did improve in this quarter in Central Otago Lakes and Auckland. Central Otago Lakes improved by 7.3% and Auckland improved slightly by 1.1%. Auckland and Central Otago Lakes do, however, remain the least affordable regions in the country, 56% and 45% less affordable than the rest of New Zealand.

You can find the report here.

The latest Demographia International Housing Survey confirmed what we know – house prices in Auckland have risen much faster than incomes. So much so, that Auckland is the fourth least affordable city in a survey of 92 cities around the world.

The report can be found here

Shamubeel Eaqub says in this opinion piece here, that the causes for the housing crisis have been well covered. Housing supply is too slow because of ineffective regulation, while demand is too high because of our culture, tax incentives and bank lending biases towards existing homes over new builds and businesses.

Similarities across some markets around the globe show that the drivers are not necessarily unique to New Zealand, but often the underlying causes are much the same – the economies are successful, populations are growing, and home owning and investing cultures and housing supply is unresponsive.

Recent articles

Annual Report

CHA’s Annual Report for 1st July 2019 to 30th June 2020

CHA’s Annual Report for 1st July 2019 to 30th June 2020

Strategic Plan

CHA’s Strategic Plan 2018

CHA’s Strategic Plan 2018

Featured Network

Residential Tenancies Act Community of Practice

Residential Tenancies Act Community of Practice

Our Place

Our Place 2017

Our Place 2017

Case Studies

Media Releases

News

Newsletters

Community Housing Aotearoa (CHA) Newsletter 12 October 2021

Message from Chief Executive, Fortnightly Sector Zoom Calls, Tenancy Management Community of Practice, Ngāti Toa Secures A Deal To Ensure High Quality, Healthy And Affordable Homes At Kenepuru Landing, More Progressive Home Ownership Opportunities for First Home...

Submissions

Legislation

Reports

Te Whakaruruhau Report

The Te Whakaruruhau Report establishes the peak body services to the Homelessness Sector by Te Matapihi he Tirohanga mō te IwiTrust and Community Housing Aotearoa. The report can be found here: Te Whakaruruhau September 2020

Research

BRANZ research report on ‘exceeding the minimum’ released

This report looks at the question: why don’t landlords choose features that exceed the minimum building standards and what are the enablers to changing this? The aim is to identify the barriers to an improved rental stock and potential solutions to overcome the...

Community Housing Aotearoa

Contact Us

Contact Info

Level 11, Ranchhod Tower,
39 The Terrace /
102-112 Lambton Quay
PO Box 11543
Wellington 6142

+04 385 8722

support@communityhousing.org.nz

Follow On